Existing law establishes the Medi-Cal program, which is administered by the State Department of Health Care Services and under which qualified low-income individuals receive health care services. The Medi-Cal program is in part governed by, and funded pursuant to, federal Medicaid program provisions.

Existing law sets forth different mechanisms for health care coverage for individuals, including the Medi-Cal program, the federal Medicare Program, an employer-sponsored plan, and a plan through the California Health Benefit Exchange, also known as Covered California. Existing law imposes various taxes on residents, such as sales and use taxes and personal income tax, and authorizes cities and counties to impose local sales and use taxes in conformity with the Sales and Use Tax Law.